The situation between BEL and the government of Belize remains at a tense standstill tonight. Government yesterday pre-paid four million dollars in electricity bills which BEL will use principally to pay CFE in Mexico. Government has asked for a full accounting and documentary proof of how the money is spent.
Government hopes to come to some agreement with BEL's owner Fortis in that time. But according to the Prime Minister - who appeared on KREM WUB this morning- so far, FORTIS has adopted a take it or leave it approach. IT has indicated to government that it is willing to sell its equity at the book value - which is over 200 million dollars - but wants 36 million dollars added to it. That 36 million has been under dispute since 2008 when the PUC disallowed it as an addition to BEL's costs. It has been a central sticking point - and is essentially what brought things to this point.
According to the PM, BEL CEO Lyn Young has also indicated that attorney Eamon Courtney is the contact person for Fortis.
Government today issued a cautiously worded four page statement outlining its position - most -we gather for the international investor community.
The statement stresses that "government has no dispute with CEL, BECOL or Fortis" and "its only interest is in maintaining an uninterrupted and reliable supply of electricity to consumer sin the country, and it is prepared to take whatever reasonable steps are necessary to achieve this objective."
Days ahead will tell if the measured approach will work out.
Email
Print